Bloomberg Markets TV & Radio Interview Thomas Ingenlath, CEO of Polestar
June 9, 2022
Interview Transcript :
Bloomberg: Polestar is a global EV brand like Tesla, delivering globally, producing in the United States, Europe, and China
Thomas: I think that is certainly a strong parallel between Tesla and us, and of course launching the competitor to the Model 3, all that brought it to this direct competition and comparison. Long-term, our ambition is the premium luxury segment, the three cars we are launching are certainly on the premium side and the ambition Tesla is dealing with.
Bloomberg: I have had the opportunity to drive the Polestar 1, I was instantly impressed by especially the suspension, using Swedish Ohlins. Polestar 2, I’ve seen it out there on the road. You are really breaking apart from Volvo with Polestar 2 and 3. How are sales going and what kind of sales expectations you have for Polestar 3?
Thomas: 55,000 Polestar 2s are on the road. We have a very strong intake. This is 32,000 so far which is 290% up from the year before, so we are happy with the uptake. And we know we would rather run after getting each and every car chasing customers. We are happy with the demand and definitely on track with our promise to actually go all the way up to the 290,000 by 2025.
Bloomberg: Who is behind the Polestar 2 and who do you think will be buying the Polestar 3? Thomas: This is just anecdotal, but company after company I talk to now seems to be offering in EV of some sort and as some sort of a bonus, employees can buy cars from companies, get a tax advantage. Certainly, if you’re a business owner you can get a tax advantage by buying an electric vehicle. We are also seeing the deal with Hertz. What will this be aimed at and who is going to be buying it?
Thomas: To start, electrification is a reality. The European parliament made the official end state of the combustion engine, starting in 2035, it will stop. So, everybody will be driving EVs. Our customers, it’s a mixed bag. We have customers that had other electric experiences, but there’s a big amount of people who come from owning a BMW and Mercedes, so it’s a mixture there.
Bloomberg: In terms of the deal with Hertz, how many Polestar 3s will be going to Hertz?
Thomas: The deal is over five years, 65,000 cars, and it will be a mixed bag. It will be not only the Polestar 2 which was the prime talks, but the Polestar 3 as well. We will also launch the Polestar 4 in our range and definitely the 3, 4 and 5 will be part of this as well. And Hertz for us is an opportunity to bring Polestar to people for the first time driving an electric car, and it will enable us to build brand awareness.
Bloomberg: It will build brand awareness where people can buy and trade your shares, you are planning on going public through a reverse merger SPAC with Gores Guggenheim, to close this month I believe after the shareholder meeting you have scheduled at the end of June. How is that going? Is that on track? Do you expect this to happen because we’ve seen deals fall through.
Thomas: This is on track and now really that’s the goal in front of us. We will indeed close by the end of the month—by the end of this, we will be on the Nasdaq. We look forward to run the company like that.
Bloomberg: I want to bring up Ohlins again, are you going to be exploring that partnership further? Because they are just like solid shocks.
Thomas: It’s definitely the great spice in our recipe we love to cook with. We definitely will continue. We just launched a special edition even more exquisite—and the Polestar 3 will have their special corner.
Bloomberg: Fellows we are going to wrap things up. One thing about Matt is he talks so knowledgeably about the EVs and the love for them, yet I think what you got to look at is not what he says, but what he does. He just bought a new house, have you bought a new car and is it an EV?
Bloomberg: In terms of full disclosure, yes, I have just bought a Chevy Silverado, 22-liter gas V-8, but I also bought a Volvo with a hybrid powertrain. It’s got the electric battery as well as a supercharged turbocharged two liter four-cylinder engine. So, we are going both ways.
Thomas: I definitely will send you the invite for the Polestar 3 test drive. I’m sure there is some opportunity for you there.
Bloomberg: I look forward to it.
Bloomberg: I think Matt’s wife could be the target market there. Matt on the other hand, I’m not quite sure. We really appreciate the time with the CEO of Polestar.